April 28, 2022 | Source: Franchise Times
Chaac Foods is on a development warpath. Last year, the company signed a sizable franchise agreement with Dickey’s Barbecue Pit to open 48 stores over five years, and inked a deal with Bojangles to buy 40 corporate stores and open 40 more. And earlier this year Chaac signed on to develop multiple Jimmy John’s units as part of its increasingly diversified portfolio.
Chaac Foods co-founder and CEO Luis Ibarguengoytia said the pace of dealmaking comes down to opportunity. The company’s agreements with Dickey’s and Jimmy John’s focus on the East Coast between Washington, D.C. and New York City, said Ibarguengoytia, where he’s also developing Pizza Hut restaurants. By opening “double or triple restaurants” in the same area, Ibarguengoytia said Chaac Foods could better utilize space, and get better deals on real estate.
Pizza Hut restaurants require 1,200 to 1,400 square feet, which is often less space than a landlord wants to lease out, Ibarguengoytia explained. “By adding brands to our development, we found that we were able to find a lot better real estate,” he said.
Jeff Gruber, senior vice president of development at Dickey’s, said the company was interested in the agreement with Chaac Foods because it concentrated on a part of the country the brand hasn’t yet penetrated.
